J.A. Krames’ Book, What The Best Ce Os Know

750 words - 3 pages

In this assignment, we focus on comparing Chapter 2 and 5 taken out of J.A. Krames’ book, What the Best CEOs know: 7 Exceptional Leaders and Their Lessons for Transforming Any Business (2003). We are introduced to two great computer technological CEO’s; Michael Dell, founder & CEO of Dell Computers and Andy Grove, cofounder and former CEO of Intel. Dell is well-known for personal computers and Intel is famous for its microprocessors that are put into computers and devices for memory.
Success started at a young age for Michael Dell, he was only 12 years old when his first product catalog called “Dell’s Stamps” advertised in the local trade journal. He learned early in life to develop a direct relationship with the customer which later would provide the key to his success (Krames, p. 58). Andy Grove had teamed up with Bob Noyce, and Gordon Moore in 1968 after discovering they could create chips with massive memory. Grove used a metaphor to describe his foundation of success – a three-legged stool; execution and strategy (Krames, p. 137). When one leg is off, it throws off the whole system. Dell’s major accomplishment came when he planned and sold personal computers out of his dormitory room which lead to the creation of Dell Computers Corporation. At the age of 27, Dell was the Top CEO of a Fortune 500 company. He had clear ideas about how-to-do business.
Both CEO’s were able to save their companies from suffering major reverses. Yet, each company received their own strategic inflection points and applied different strategies to get their competitive advantage according to Krames. Both men suffered resistance in presenting and promoting their ideas. Dell faced resistance from his management teams. The management teams forced their views and were opposed to listening to what the customer wanted and needed (Krames, 2003, p. 59). Resistance was also met by “placing the customer at the epicenter,” which for some, was unheard of and uncommon (Krames, 2003, p. 59). This direct model is based on a bottom-up strategy which is based on the needs and preferences of the consumer. A hard lesson Dell had to face occurred when a new line - Olympic was released. Dell missed the principle component of his successful scheme. He was met with resistance...

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